Fiscal Note
Rent payable during the first year shall be $48,966.50 and will increase by 3% annually for the subsequent year and any renewal periods. This is a decrease in the amount of rent currently paid by DCNET for its office space. Funds are available in a segregated fund which is used to account for revenues and expenditures associated with DCNET.
Title
Authorizing the Mayor and City Clerk to execute an amendment to the lease with International Properties LLP for office space located at 2701 International Lane.
Body
WHERAS, the City of Madison currently leases approximately 3,070 square feet of office space at 2701 International Lane for law enforcement purposes; and
WHEREAS, the initial term of the lease was for the five-year period commencing on December 1, 2000 and expiring on November 30, 2005; and
WHEREAS, in accordance with the terms of the lease, the City exercised its three (3) renewal options, with the lease being extended to November 30, 2008; and
WHEREAS, the City remains in occupancy of the leased premises as a hold over tenant; and
WHEREAS, the parties have agreed to extend the term of the lease for an additional period of two (2) years, with options for the City to renew thereafter.
NOW THEREFORE BE IT RESOLVED, that the Mayor and City Clerk are authorized to execute an amendment to the lease for office space with International Properties LLP ("IPLLP"), on the following terms and conditions:
1. The term of the lease shall be extended for a period of two (2) years, commencing as of December 1, 2008 and expiring on November 30, 2010 (the "Extended Term").
2. Base Rent payable during the Extended Term shall be as follows:
Extended Term |
Year Period |
Monthly Base Rent |
Annual Base Rent |
Base Rent per SF |
12/1/2008 - 11/30/2009 |
$4,080.54 |
$48,966.50 |
$15.95 |
12/1/2009 - 11/30/2010 |
4,202.96 |
50,435.50 |
16.43 |
|
|
|
|
3. If at the end of the Extended Term or at the end of any "Additional Renewal Term" (as hereinafter defined), if applicable, the City is not in default under the terms and conditions of the lease, then the City shall have three (3) successive options to extend the lease for additional terms of one (1) year each (the "Additional Renewal Terms"), under the same terms and conditions provided in the Extended Term, except that rent during the Additional Renewal Terms shall be as set forth below.
Additional Renewal Terms |
Year Period |
Monthly Base Rent |
Annual Base Rent |
Base Rent per SF |
12/1/2010 - 11/30/2011 |
$4,329.05 |
$51,948.56 |
$16.92 |
12/1/2011 - 11/30/2012 |
4,458.92 |
53,507.02 |
17.43 |
12/1/2012 - 11/30/2013 |
4,592.69 |
55,112.23 |
17.95 |
|
|
|
|
4. All other terms and conditions of the lease, which are not inconsistent with the amended terms set forth above, shall remain in full force and effect.
BE IT FURTHER RESOLVED, that the Mayor and City Clerk are hereby authorized to execute any and all additional documents that may be required to complete this transaction.